Life insurance...(UK)?

Question

...my mum is 61 and was on benefits for a long time and now receiving pension.she wants to get life ins so my sis and i wont have to pay funeral costs when the time comes however my sis syswe wont have to as shes on benefits. what is correct, should she get life cover(she has no mortg or debts to pay off by the way)

Answer 1

Social Services will pay for a funeral if your mother has no relatives but seeing has she has some then you and your sister will have to pay it if either of you works.

If you are both unemployed they will pay it for you but if either of you have partners that are working they will not pay it.

That make sense to you?

Answer 2

I'm not trying to sound horrible, but at that age I would probably go for a high-interest savings account (out of which you could then pay for the funeral, etc.). She could then put monthly payments into that account, just like insurance payments. Also, if any circumstances change, she could stop payments for a while until everything is back on track. A lot of insurances would stop the cover in that case and many of those advertised on telly targeting older people would not even refund the payments you have made so far.

Life insurances are useful if a family or similar depend on your financial support (if you have the main household income). Otherwise most plans on offer are just a rip-off. Offers for eople over a certain age tend to be less good (because of the increasing risks of certain illnesses). Please remember: in most cases it's the insurance companies that make the money.

And hopefully your mum will be around for some time to come.

Answer 3

If its her Funeral thats she's not wanting use to worry then go onto www.cis.co.uk wesite & have a look at the funeral plan they do i am alot younger than your mum & i have started to pay into it.

Good luck & hope this helps

Answer 4

You can apply for a funeral grant of the state but it is not much.  If you are looking for a cheap form of life cover then this can be difficult for someone who is older.  One of the best things is a pre paid funeral plan.  your mom will pay an amount each month towards the cost of her funeral and when she dies the funeral is taken care of.  Just type pre paid funeral plan into google and have a look at what comes up.

Good Luck